South Korea’s SK Securities to Team up with Regional Bank for Crypto Custody, NFT Move

The securities arm of South Korea’s second-largest business group will take the crypto plunge – and will team up with a domestic commercial bank as part of its efforts.

Per the media outlet The Public, SK Securities, part of the SK business empire, will launch a “digital asset custody business” in conjunction with DGB Daegu Bank, a regional commercial bank based in the city of Daegu. The parties have snapped up a 9.7% stake in a crypto custody startup named Infinite Block for an undisclosed sum.

The move is the first major crypto-related M&A from a South Korean securities firm. SK Securities added that it would seek to begin security token offerings (STOs) and non-fungible token (NFT) issuances. The company also wants to start offering crypto “management services.”

The SK Securities CEO Kim Shin was quoted as stating that the “blockchain market” was currently “in crisis” due to the “Terra/Luna incident” and multiple hacks.

Kim stated that Securities now “plans to create a platform that allows companies to safely and conveniently operate and manage digital assets.”

Infinite Block describes itself as a blockchain technology-powered fintech outfit that develops digital finance infrastructure for both the traditional and emerging financial markets.

DGB Daegu Bank’s President Lim Seong-hoon was quoted as stating:

“This investment is meaningful in that it is the first time a domestic regional bank has moved into the digital asset market. It is a market with great potential. We will work with excellent companies and provide high-quality services to our customers.”

The news comes hot on the heels of crypto-related developments from one of SK Securities’ biggest rivals – Hyundai Motor Securities.

Yesterday, Cryptonews.com reported that Hyundai Motor Securities has struck a deal with the crypto exchange Bithumb. The agreement will allow users of Hyundai Motor Securities’ asset management platform to check on the status of their crypto holdings, as well as monitor token market prices.